HSBC sees profits in Climate Change policies – What, you didn’t think they were being altruistic did you?

So this is a pretty interesting little article in the New York Times about how the latest and greatest UN Climate Accord is going on, nice and quiet behind the scenes while we’re all being distracted by American Idol, sinking cruise liners and so forth.

But what really struck me as interesting wasn’t the big talk on the UN, or the complaints it’s taking too long. What really interested me was the statement from Nick Robins, the energy and climate change analyst at HSBC. He stated that

“private finance and technology firms would play an increasing role in reducing carbon emissions, with or without the U.N. convention or even radical policy changes in the countries that generate the largest emissions.”.

Which might come over as being very altruistic of HSBC and therefore can only be A LIE.

Lets face it, the (City of ) London based global bank isn’t well known for it’s altruism. Its more well known for it’s recent “mis-selling” scandal, super high executive salaries and so forth. So what’s it in for them?

Well, helpfully Nick tells us in the very next paragraph,

“Investment in low-carbon technology, from solar and nuclear to energy efficiency in buildings and lighting, is now $720 billion a year. “By 2020,” he said, “we estimate it to be $2.2 trillion, without any new global deal or major change in policy in the leading economies.”

Now, bare in mind the levels of tax payer subsidies to the “feed in” tariffs for solar (and wind) and you can see their motivation. With tax payer funding any shortfall in profits via subsidies, it’s pure profit for HSBC all the way. Even if a solar farm doesn’t work efficiently, it makes no matter. Because the Government is legally committed to propping it up. All HSBC has to do is provide the seed money for the construction and sit back and reap the benefits of combined profit and interest, at the expense of the tax payer.

My only surprise is that it’s taken so long for some idiot to let the cat out of the bag!